- Business
- Virtus KAR International Small-Mid Cap Fund Class R6 (VRISX) is an open-end mutual fund that seeks attractive risk-adjusted long-term returns by investing primarily in equity securities of non-U.S. small- and mid-capitalization companies exhibiting durable competitive advantages, excellent management, lower financial risk, and strong growth trajectories; it employs a disciplined, fundamental research-driven process to identify high-quality businesses with above-average returns on capital trading at attractive valuations, focusing on those with solid balance sheets, consistent profitability, high free cash flow, and minimal need for external financing. The fund maintains a high-conviction, low-turnover portfolio typically comprising 30-60 securities, with significant allocations to communication services, industrials, financials, and information technology sectors; top holdings as of late 2025 include Baltic Classifieds Group PLC, AJ Bell PLC, Rightmove PLC, Corporacion Moctezuma SAB de CV, and Caixa Seguridade Participacoes SA, alongside geographic exposure to the United Kingdom, Eurozone, Japan, and emerging Asia. Managed by Kayne Anderson Rudnick Investment Management, LLC (KAR), a Los Angeles-based firm founded in 1984 and 100% owned by Virtus Investment Partners, Inc., the fund is domiciled in the United States with Hartford, Connecticut, serving as the headquarters for Virtus; KAR provides sub-advisory services across equity strategies, market caps, and geographies for institutional, retail, and mutual fund clients worldwide. The Class R6 share class, launched on November 12, 2014, targets retirement plans and large investors with a minimum initial investment of $2.5 million, featuring a net expense ratio of 1.08% and total net assets exceeding $1 billion as of late 2025. In recent developments, the fund was renamed from Virtus KAR International Small Cap Fund around 2021 to reflect its expanded small-mid cap focus; Virtus Investment Partners, the parent entity, completed a 35% minority stake acquisition in Crescent Cove Advisors in December 2025 to enhance private capital solutions and entered an agreement for a majority interest in Keystone National Group, anticipated to close in Q1 2026, while KAR continues to support new Virtus offerings like the Virtus KAR Developing Markets Fund launched in late 2024.